but they are divided over how much and how soon to cut government spending. and people are frustrated. >> sometimes you wonder, is it all just for show, or, you know, what's really going on behind closed doors? >> reporter: come midnight, your takehome pay shrinks. income taxes go up for everyone. roughly $2,400 next year for a family making 50 to $75,000. the 2% payroll tax break ends, costing an average worker another $1,000 a year. higher taxes on savings and investments. families will pay more on large inheritances. and for those on hard times, out of a job longer than six months, unemployment benefits stop. visitors to capitol hill say they're out of patience. >> i don't think it's fair that our kids are coming into this world with so much debt. >> reporter: the new year with no deal also means government spending faces deep cuts. slicing 8 to 9% from many federal agencies and the military. cutting about $110 billion next year. and right now, sources in both parties say they think they can delay those spending cuts for about two months. but again, they'r